Table 2: Behavioural and government program parameters.


Intertemporal elasticity of substitution0.9
Intratemporal elasticity of substitution0.8
Ratio of CPP/QPP pension replacement rate0.2
Elasticity of time allocated to the production of human capital0.7
Elasticity of substitution for labour demand across qualification1.5
Production share of physical capital0.3
Rate of interest0.04 (per year)
Depreciation rate of physical capital0.05 (per year)
Government expenditures/GDP0.21
Government debt/GDP0.0842
Labour income tax rate0.318
Capital income tax rate0.352
Consumption tax rate0.11